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Handbook for tHe Inter-amerIcan network on Government Procurement
• Improved environmental stan- dards can result in improved air
and water quality, and reduced waste—creating healthier environ-
ments for entire communities.
Financial beneits • SPP can help drive a sustainable
economy and provide better value-for-money of goods, services
and infrastructure. when the long-term costs of production,
use, maintenance, and disposal are considered, SPP makes more
eicient use of public resources.
• Improved insulation, reduced leakage, and other water and
energy saving measures may generate operational savings for
utilities in electricity, heating and water.
• Choosing more environmentally friendly products may reduce
the costs of waste management, pollution prevention and pollution
mitigation. choosing products with longer life-spans will reduce
future procurement costs.
Contribution to global sustainability
• Public authorities that adopt SPP demonstrate a commitment
to sustainability for public policies that promote sustainable devel-
opment. they show a desire to be part of the international move-
ment in support of the Sustain- able development Goals SdGs
and the post-2015 development agenda.
Increased legitimacy • SPP increases the legitimacy of
public authorities using public funds for procurement. It also
can create or reinforce a positive image for public authorities at
home and abroad.
Fostering innovation • SPP has great potential to drive
innovation. Public procurement represents roughly 20 per cent of
GdP and is a powerful driver of change. Public authorities can use
procurement to create demand for innovative solutions.
Policy coherence • SPP can implement a govern-
ment’s industrial, environmental and social policies.
2. why undertAke SPP In LAtIn AMerICA And
the CArIbbeAn nOw?
SPP can be a powerful lever for development and growth. It aligns
with many of the economic and social priorities of Latin american
and caribbean Lac countries.
Environmental and social awareness
national development plans increasingly relect an apprecia-
tion for environmental, social and economic sustainability. environ-
mental agencies are better stafed and prepared than in the past, and
environmental education at all levels continues to improve.
Lac governments are encouraging the mitigation of environmental and
social risks in the private sector, but the public sector must also lead by
example. SPP provides governments with a valuable tool to demonstrate
their commitment to sustainable development.
Environmentally friendly goods Green goods and services are
already being scaled up across the Lac private sector. Public procurers
should support green entrepreneur- ship, using their market power to
encourage companies to adopt sus- tainable technologies and processes.
Environmental and social regulation
many Lac countries are developing increasingly stringent environmental
and social regulations. the more procurement policies are aligned
with these other regulations, the more efective and mutually-
reinforcing they can be.
Regional networking on public procurement
many courses, workshops and meetings in the Lac region ofer
capacity building and knowledge sharing on SPP. these events
provide Lac procuring authorities with opportunities to learn about
the beneits and challenges of SPP and how to introduce and harmo-
nize their own SPP policies and practices with existing procurement
regulations.
Cost efectiveness In many cases, SPP can save money
over business-as-usual scenarios. medium to long-term savings come
from increased eiciency of inputs e.g. lower energy demand, reduced
water use, fertilizer use etc. or due to the durability and longevity of
a product or service e.g. fewer repairs, lower maintenance. In
addition, cost savings can come through bulk orders, and through
reduced packaging and transport. the prudent use of taxpayers’
money can channel savings towards poverty reduction and other
pressing socio-economic priorities.
Joining the global cause Procurement professionals around
the world are building awareness and expertise in SPP. they have seen
many promising outcomes, and initial fears of high procurement
costs are disappearing. SPP profes- sionals are learning that greener and
more socially responsible products, services and infrastructure bring
cost savings across their useful lives—delivering meaningful
value-for-money to taxpayers.
Se C
t IO
n 2
IN T
E G
RA T
ING SU
S T
AINABIlI Ty
IN T
O T
HE P
R OC
UR EMEN
T C
y ClE
SECTION 2
Integrating Sustainability into
the Procurement Cycle
Handbook for tHe Inter-amerIcan network on Government Procurement
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Handbook for tHe Inter-amerIcan network on Government Procurement
1. bASIC PrInCIPLeS Of tenderIng